Dutch paper analyses impact of environmental policy on FDI

The Amsterdam RAI exhibition centre

Multinational companies can be deterred from investing in countries with bad environmental policies by the need to portray sustainable management, according to a working paper published by The Netherlands Bank today (October 30). But the opposite is true for resources companies and some utility providers.

The authors, Steven Poelhekke and Frederick van der Ploeg, contrast the incentives for foreign direct investment (FDI) in countries with loose environmental policy – cost savings – with the

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